ODDO BHF SECURITIES Small & MIDCAP MORNING NEWS – 03/05/2025

ODDO BHF SECURITIES Small & MIDCAP MORNING NEWS – 05/03/2025

Coty : Initiating coverage

We are initiating coverage of Coty, a major player in the world's beauty industry, and more specifically in fragrances. In a global environment that is admittedly less clement given disappointing earnings releases in the sector recently, we believe the group's deleveraging trajectory and its goal of obtaining an IG rating remain intact.

Coty : Initiation de couverture

Nous initions la couverture du groupe Coty, acteur majeur de l’industrie mondiale de la beauté, et plus particulièrement des parfums. Dans un contexte global, certes moins clément, eu égard aux publications récentes décevantes dans le secteur, nous estimons que la trajectoire de désendettement du groupe et son objectif d’obtenir un rating IG restent préservés.

Restrictive or not, the ECB’s policy warrants further easing

Tomorrow, some ECB governors will enter the Council meeting room with one goal: to revise the press release so that monetary policy is no longer described as "restrictive". If the hawks get their way, it may not be the end of the policy rate cut cycle, but the pace of cuts could be slowed. Rather than debate semantics, it is reasonable to assume that the majority of Governors considers it more important to examine the risks weighing on the eurozone. These risks are downside to growth, and in turn, downside to inflation. Monetary policy needs to be further eased to facilitate the investment sti...